PRESS DIGEST - British business - Dec 6

HARD ROAD TO 2018

Millions of families will be hit by squeezed benefits and higher taxes after George Osborne capped a gloomy outlook by extending austerity into 2018.

CITI’S CORBAT SHOWS WHO’S BOSS

The new boss of Citigroup has stamped his mark on the bank after only two months in the job by announcing plans to cut 11,000 jobs worldwide.

PADDY MCKILLEN PLEDGES TO SHOW THE MONEY FOR HOTEL

Paddy McKillen, the Belfast-born property developer, claimed on Wednesday that he would have “no problem” financing his share of a proposed shareholder rights issue at Maybourne Hotel Group to raise £145 million of new equity.

The Telegraph

AUTUMN STATEMENT - LONG ROAD TO RECOVERY

Middle-class workers and wealthy savers were the targets for George Osborne yesterday after he admitted that a new round of tax rises was needed to tackle Britain’s grim economic prospects.

BUSINESS AT HEART OF DRIVE TO RESCUE ECONOMY

The UK finance minister has charged Britain’s businesses to lead an economic recovery before the next election after unveiling a surprise cut in corporation tax, a tenfold increase in the capital investment allowance, and 1.5 billion pounds ($2.4 billion) of support for exporters.

BRITAIN TO LEAD IN TAX AVOIDANCE CLAMP-DOWN

The UK is to lead a co-ordinated international crack-down of tax avoidance by global firms - to ensure that companies such as Amazon, Google and Starbucks “pay their proper share”.

The Guardian

UK’S OSBORNE CUTS WELFARE, EXTENDS AUSTERITY

The UK finance minister has announced deep cuts in welfare and Whitehall spending after admitting Britain’s malfunctioning economy had left him unable to meet the government’s targets for repairing the public finances.

VIRGIN RAIL TO OPERATE WEST COAST MAINLINE FOR 2 MORE YEARS

Plans for an interim franchise while the west coast main line’s future is resolved look set to be scrapped when the transport secretary, Patrick McLoughlin, announces a deal for Virgin Rail to keep operating the route for the next two years.

The Independent

ALL SQUEEZED TOGETHER

The Coalition Government will agree an extra 10 billion pounds of spending cuts by next June as George Osborne admitted the “age of austerity” would last for at least another six years in a downbeat mini-budget on Wednesday.

TESCO EYES AN EXIT FROM US AS IT AXES FRESH & EASY BOSS

Tim Mason, the chief executive of Tesco’s United States business, has paid the price for losses of £850m over five years at its troubled Fresh & Easy operation, as the group admitted it was “likely” to exit America.